Is Foreign Direct Investment (FDI) in retail sector good for India?

FDI in retail sector is positive in the sense that,

- Increases employment in host country.

- GDP of the host country will improve.

- Foreign currency inflow which leads to increase in foreign exchange reserves.

- Inflow of technical skills and knowledge.

- Competition will increase in d host market.

- Improved national income as it provides greater employment opportunities with lucrative salary (especially those with greater knowledge).

- Customer oriented products hence leading to greater customer satisfaction.

Cons:

- Generally, such firms engage in price wars. They force the home markets to keep their prices low as well even if it is unprofitable for them to do so. This is because such large firms with huge production base manage low cost through economies of scale and small firms lose on this.

- May misuse natural resources of the host country.

- MNC's usually end up bringing obsolete technology to the host country.

- A major % of retail sector in India is owned by small or middle businessman, who unable to meet the competition usually sell their business to MNC's. This in turn gives birth to a cycle of problems like decrease in Personal Disposable Income, employment opportunities etc.

I think no it's not good, as this type of investment is affecting the middle-class business people severely. The opportunity for less educated people to start a small business is directly snatched away resulting into the affecting of GDP. The hard work of small towns people in retail sector become competitive with the big companies through their direct investment in retail sector.

FDI is not good for India, India is made in India, we peoples are buying a ration rice from government for 2 Rs or free, why I am conveying above point means because of FDI.

Small investment owners are affected by FDI.

Hello Friends.

Everything has pros and cons.

Pros.

1. Economy size will increased.
2. GDP will increase.
3. Technology will improve.
4. Good quality products.

Cons.

1. FDI will transfer the employment from unorganized to organized sector so total no of employment will decrease.
2. Lose small scale industry.
3. Bad quality products on less rate.

Hello friends, FDI means investment of foreign companies in our country and this results to increase the GDP of our country. If foriegn companies will come in our country it decrease unemployment of our country. Due to increase in companies there is a competition among Indian and foriegn companies and this results to be better things will come in market. It will give us a number of choices of things in market.

Hello everyone.

Yes. Absolutely foreign direct investment in retail sector is good for India. It provides us new job opportunities and we could do best in business. To be specific if multinational company like wallmat, spencer k mart, dmart are willing to invest, then surely it is beneficial for us. I think Indian should take advantage of fdi and show economic growth.

According to me, there should be FDI but up to some extent. As the population of India is still living below poverty line and their livelihood depend on small scale industry and Kirana stores and if we allow FDI than obviously, they are going to have supermarkets and malls and people of India will prefer to go to these stores where they can get more choice and better offers. So, FDI should be up to some extent only to protect all the 3 sectors of the society and to maintain the balance between the poor and rich people.

If FDI comes in India it creates a lot of job opportunity which really helpful for unemployment people. Those who are really skilled but not getting a job due to less vacancy in MNC.

FDI is good for India but only for some time and after that, we want our entrepreneur because Gulami provide diet twice in a day but they don't make king of economy.

Yes, it's important because it will increase the money worth of the Indian rupee.